Pastore & Dailey won a complex securities and M&A action in the United States District Court for the District of Delaware arising from a derivative rights holder agreement and related investment banking engagement agreements. This is the latest iteration in the saga between the Defendant, Pastore & Dailey’s client, and the Plaintiff, a representative of the shareholders to a company seeking to invalidate investment banking fees owed following a series of complex insurance corporate mergers.
After Pastore & Dailey successfully defended its client in the United States District Court for the District of Nebraska and then successfully defended its client in the appeal before the Eight Circuit that followed the District of Nebraska decision, its Motion to Dismiss was granted in the District of Delaware. In its Memorandum Opinion, the District Court agreed that Plaintiff’s claims were batted by the doctrine of res judicata and that the Plaintiff lacked standing to assert its claims.
Pastore & Dailey attorneys have vast experience arguing and defending matters in various federal courts across the country and are well-situated to handle similar claims involving complex contractual and investment banking issues.
Pastore & Dailey successfully represented its client, a Registered Investment Adviser, in a preliminary injunction hearing against a national bank on an issue regarding a Paycheck Protection Program (“PPP”) loan. The hearing was held virtually in the Supreme Court of New York. The bank had taken out PPP loan money from Pastore & Dailey’s client’s account and provided default notices to the client. Pastore & Dailey filed for injunction on behalf of its client and the Court agreed with Pastore & Dailey that the bank had interfered with its client’s ability to apply for forgiveness. The Court directed the bank to put the money in an escrow account and allow the client’s application for forgiveness to proceed through the proper channels. If the loan is forgiven, the money will be released to its client.
Pastore & Dailey successfully defeated a Motion to Dismiss in a case against a billionaire and an AM Law 200 firm in a case in front of the Complex Litigation Docket in Stamford. The case involves complex direct and derivative shareholder claims in which the claim for damages is more than $65 million. Pastore & Dailey’s client is one of the shareholders of a two-shareholder company and defendant billionaire is the other shareholder. The Motion to Dismiss sought to dismiss certain counts of the complaint for lack of subject matter jurisdiction. The Court, however, agreed with Pastore & Dailey’s contention that a shareholder in a two-shareholder action can bring a derivative action against the other shareholder and denied the Motion to Dismiss.
In April 2013, Pastore & Dailey’s transactional team successfully concluded a combination grant and loan financing transaction on behalf of a New Haven based manufacturer serving the aerospace industry. The transaction was completed in connection with the recently established State of Connecticut Department of Economic and Community Development (DECD) Small Business Express Program which seeks to provide the maximum return on investments to state taxpayers in the form of job creation and capital investment. The DECD funding will play a key role in the expansion and modernization of our client’s manufacturing facility located in New Haven, Connecticut as well as the creation of a number of new full-time jobs in Connecticut.